Business Archives

CH Robinson utilizing artificial intelligence to process shipping quotes

John Worthen - May 7, 2024

EDEN PRAIRIE, Minn. — These days, artificial intelligence (AI) is popping up in every imaginable industry. Trucking is no exception. Though some in the industry have pushed back against the budding technology, others are embracing it. Third-party logistics giant C.H. Robinson is one of them. The company has announced it’s now operating an AI protocol to help shippers across the country. “It breaks a long-standing barrier to automation and gives shippers who use email the same speed-to market and cost savings as shippers who are more digitally connected,” a C.H. Robinson news release notes. Using artificial intelligence, C.H. Robinson’s new technology classifies incoming email, reads it and replicates the steps a person would take to fulfill a customer’s request. For example, shippers often still choose to send an email asking for a price quote rather than log into a digital platform. On an average business day, the global logistics company receives over 11,000 emails from customers and carriers requesting pricing on truckload freight. “Our customers can get instant price quotes through our Navisphere platform or any of the 35 largest TMS or ERP systems we’re integrated with. But for someone like a busy warehouse manager with unexpected spot freight or freight in a new lane, an email can just feel easier. Email works the same for everybody. It doesn’t ask for your password. There are no fields to fill in,” said Mark Albrecht, vice president for artificial intelligence. “Before generative AI, replying to that email request defied automation. Customers had to wait for a human just to pass along a quote from our Dynamic Pricing Engine. Now, our new technology reads the email and supplies the quote in an average 2 minutes 13 seconds. C.H. Robinson is doing this at scale, leaving our people more time to help those same customers with more complex requests.” While the technology is replying to 2,000 customer quote requests a day, it opens the door to automating other transactions shippers and carriers choose to do by email. The large language model (LLM) the technology uses can be trained to identify an email about a load tender, a pickup appointment or a shipment tracking update. For spot quotes, C.H. Robinson has already trained the model to differentiate between a quote request for truckload, less-than-truckload (LTL), intermodal or air freight. So far, 2,268 of C.H. Robinson’s truckload customers are getting the benefits of automated email quotes. The faster a shipper gets a price quote and secures a carrier to pick up their freight, the less likely they’ll need to pay a premium. Speed matters in the spot market because most carriers are regional and only so many are working a given shipping lane on a given day. MIT research shows that shippers delayed in getting to the spot market can end up paying 23% to 35% extra on their shipment. C.H. Robinson developers are now working on applying the technology to LTL price requests, which will be especially valuable to the company’s portfolio of small-business customers that rely on email. A pilot using AI for price requests on expedited freight is also under way, with automotive customers that ship parts critical to just-in-time manufacturing. “After automating so many other types of customer transactions, you could call email the last mile,” said Arun Rajan, C.H. Robinson’s chief operating officer. “We’d been exploring how to automate email requests for a couple of years through natural language processing and machine learning, but it would’ve been insanely hard and expensive. Then generative AI arrived, and we developed this automation technology so fast because we already had training data ready to go. The good news for our customers is that they still get what they need using email, while our supply chain experts are freed up to do work that’s higher value for them, our customers and our company’s growth.”

Battle to pass legislation limiting nuclear verdicts continues at the state level

John Worthen - May 7, 2024

In February, the Wisconsin State Legislature passed a reform to the state’s civil litigation system that would cap non-economic damage awards at $1 million. However, Wisconsin Gov. Tony Evers quickly vetoed the measure. In a statement, Evers called the $1 million cap arbitrary saying, “the law should redress a party’s injury; not repress an injured party.” Evers also said the bill violates the U.S. and Wisconsin constitutions’ guarantees of due process and would conflict with existing state law, inviting “continuous litigation.” Meanwhile, West Virginia Gov. Jim Justice has signed into law a bill capping non-economic damage awards in CMV-related accidents at $5 million. And in Georgia, Gov. Brian Kemp is calling for the state to study limiting so-called “nuclear verdicts.” Nuclear verdicts are generally understood to be in excess of $10 million. That said, what constitutes a “nuclear” amount depends on the level of insurance coverage and the size of a trucking company. Many in the trucking industry believe capping these subjective, nonmonetary losses is critical to ensuring fairness and balance in civil litigation, and that doing so will the deter abusive and frivolous lawsuits that have perverted the system into a profit center for the plaintiffs’ bar. “The laws on our books make it too easy to bring frivolous lawsuits against Georgia business owners, which drive up the price of insurance and stops new, good-paying jobs from ever coming to communities that need them the most,” Kemp said. This statement aligns with Kemp’s background as a property developer. Owners of commercial properties and apartment complexes have been some of the biggest supporters of lawsuit limits. Another big backer is the trucking industry. Kemp called the burdens on those industries unacceptable: “Local trucking companies either can’t afford the insurance they’re offered or can’t find a carrier altogether, and business owners live in fear of being sued for ridiculous claims on their property,” Kemp said. Kemp says his call to “level the playing field in our courtrooms” will cut insurance premiums and help create more jobs. The Truckload Carriers Association (TCA) is working to educate its members about lawsuit abuse reform and to bring the matter to federal legislators. “It’s something we always have our eye on,” said Dave Heller, TCA’s senior vice president of safety and government affairs. According to the American Transportation Research Institute (ATRI), within a recent eight-year period, settlement amounts in trucking accident cases increased 51.7% annually, rising from $2.3 to $23 million. In addition, data collected over a recent 13-year period revealed that during the first five years of the period studied, 26 truck accident lawsuits produced verdicts of over $1 million. In the last five years of data studied, there were 300. Neal Kedzie, president of the Wisconsin Motor Carriers Association, says the legislation knocked down by Evers had broad support in the state legislature — and across the state — and expressed disappointment with that the governor’s veto. “Wisconsin’s trucking industry is essential to everyone in our state, and rampant lawsuit abuse is impeding our ability to do our job safely and efficiently,” Kedzie said. The trucking industry is a key provider of middle-class jobs in Wisconsin, employing approximately 183,780 people throughout the state. More than 77% of Wisconsin communities rely exclusively on trucks to receive their goods. Traci Nelson, president of the West Virginia Trucking Association, lauded the passage of lawsuit abuse reform legislation in her state and expressed appreciation to lawmakers. “With approximately 33,890 West Virginians employed in the trucking industry and 84% of our communities relying solely on trucks for goods transportation, this legislation is critical for our state’s economic well-being,” Nelson said. “When the plaintiffs’ bar perverts civil litigation into a casino game of ‘jackpot justice,’ the costs are borne by everyone — not just trucking companies, but consumers too, in the form of higher insurance rates and higher prices for everyday goods,” said Chris Spear, president and CEO of the American Trucking Associations, adding that “reasonable reform ensures justice and fairness drive accident litigation outcomes, not profits.” This article originally appeared in the May/June 2024 edition of Truckload Authority, the official publication of the Truckload Carriers Association.

Legislation to repeal the FET still stalled in Congressional committees

John Worthen - May 7, 2024

Since the Modern Clean and Safe Trucks Act of 2023 was introduced in both the House (HR1440) and Senate (S694) in March 2023, there’s been little movement on the legislation. The bill, if passed, would end the federal excise tax, commonly known as the FET, on the purchase of new big rigs — a move that’s heralded by many in the trucking industry as a major step forward. The act was introduced by a bipartisan coalition of representatives and senators, led by Reps. Doug LaMalfa (R-CA), Chris Pappas (D-NH), Earl Blumenauer (D-OR), and Darin LaHood (R-IL) in the House, and Sens. Ben Cardin (D-MD) and Todd Young (I-PA) in the Senate. Bill co-sponsor Pappas said that as a small business owner, he knows just how challenging it can be to operate a business and that every potential saving makes a difference. The federal excise tax on purchases of new trucks adds, on average, nearly $25,000 to the cost of new equipment, slowing deployment of safer and more environmentally friendly vehicles, according to trucking industry leaders. “Cutting the federal excise tax on heavy trucks and trailers will help America’s Main Street economy grow, address supply chain challenges and shortages, and lower costs for essential items that families need, including groceries and gas,” Pappas said. The legislation “will also support the adoption of newer, safer, and cleaner trucks that reduce our dependence on foreign energy. I urge leaders in Congress to take up our bipartisan bill and act to provide immediate relief to small businesses and consumers alike,” he added. The last movement on the bill in the House was on March 8, 2023, when it was referred to the House Committee on Ways and Means. Over in the Senate, the bill was read twice on March 8, 2023, and referred to the Committee on Finance. Since then, there’s been no movement on either side of Congress. As of now, there is no firm timeline in place for when the bill will next see movement, said Dave Heller, senior vice president of safety and government affairs for the Truckload Carriers Association. “We would love to get (the FET repealed),” he said, adding that the tax on heavy trucks, instituted in 1917, was originally intended to support war efforts during World War I. “That war is long gone,” he said. “Why are we still paying this on new equipment when in reality, it could encourage further incentive to purchase more modern tech, etc.? We need to encourage folks to get into the new vehicle game.” Adam Blanchard, co-founder and CEO of Double Diamond Transport, Inc., describes the FET as outdated. “It disproportionately impacts certain segments of industry,” Blanchard said. “There is a better way to get funds into the Highway Trust Fund than this tax. It’s difficult, especially at a time, too, when equipment costs have gone up 50% year over year. When you tack on this tax, it hammers our ability to afford equipment. “Smaller fleets don’t have the same purchasing power as larger fleets,” he continued. “It certainly is a regressive tax that needs to be eliminated.” The 12% tax on trucks is the highest-percentage excise tax levied on any product, according to the American Trucking Associations. This added expense acts as an impediment to creating jobs, reducing emissions, and improving highway safety. “The current federal excise tax has become a barrier to our progress in encouraging cleaner and greener technology,” said Senate co-sponsor Cardin. “I am proud to support tax policy that enables … manufacturers to innovate and deploy cleaner and safer technologies in our trucking industry. Our legislation will spur growth and competitiveness while making our roads safer and less polluted.” Albert Gore, executive director of the Zero Emission Transportation Association, said the tax harms American truckers and fleet operators by inflating the cost of heavy-duty trucks and limiting access to the many economic and public health benefits that come with transportation electrification. “Medium- and heavy-duty trucks account for 24% of all transportation carbon emissions in the U.S. but represent only 4% of vehicles on the road,” Gore said. “It is time to accelerate our movement towards modernized transportation fleets, and we must enable our nation’s fleet operators and truckers to join in this effort.” Steve Bassett, immediate past chairman of American Truck Dealers (ATD) and dealer principal of General Truck Sales in Muncie, Indiana, said dealerships in the state “commend Sen. Young for his leadership on this important legislation. Repealing the 106-year-old federal excise tax on heavy-duty trucks helps keep America competitive and is key to turning over an aging truck fleet.” LaMalfa said that regulators want to shift operators from older trucks to newer models — but on the other hand, the tax penalizes them for trying to update their equipment. “Repealing the 12% federal excise tax on heavy trucks and trailers will help all businesses reduce costs, address supply chain challenges and lower costs for essential goods for families, especially in rural areas,” LaMalfa said. “The federal excise tax has outlived its original purpose by more than a century.” House co-sponsor LaMalfa noted that truckers are “an essential cornerstone in our supply chain, yet the tax code disincentivizes them from purchasing the most up-to-date equipment.” “I’m urging Congress to support this common-sense, bipartisan bill and drop the burdensome tax preventing our truck drivers from having the most modern, highest technology, and safest equipment on the road,” he added. This article originally appeared in the May/June 2024 edition of Truckload Authority, the official publication of the Truckload Carriers Association.

Ryder System given the 2024 VETS Indexes Employer award

Erica N. Guy - May 6, 2024

MIAMI — Ryder System Inc. has been named a VETS Indexes Recognized Employer in the 2024 VETS Indexes Employer Awards. The award recognizes Ryder’s commitment to recruiting, hiring, retaining, developing and supporting veterans and the military-connected community, according to a news release. “Ryder is proud to employ so many members of the veteran community and to recognize the disciplined, quality professionals whose skill sets match well with many roles in our company,” said Robert Sanchez, chairman and CEO for Ryder. “Veterans possess distinct skills learned through military service, including integrity and the ability to follow through on commitments, which are vital to delivering on our promises to customers. Ryder is honored to be recognized by VETS Indexes, but more importantly, we are proud of the veterans who work at Ryder and extend our deepest gratitude to all veterans for their service, sacrifice, and dedication.” This year, 344 organizations submitted surveys for the VETS Indexes Employer Awards, an increase of more than 100 from last year and nearly triple the number from two years ago. Only those who demonstrated a solid commitment to veterans, members of the National Guard and Reserves, and military spouses. Participating organizations included companies, government agencies and departments, nonprofit groups, colleges and universities. “The diligent efforts of Ryder to hire, retain, and support veterans and the military-connected community have earned the organization a highly coveted VETS Indexes Employer Award,” said George Altman, president of VETS Indexes. “Competition for the VETS Indexes Employer Awards was tougher than ever in 2024, as a record number of organizations participated. Even with hundreds of employers in the running, Ryder demonstrated a strong dedication to veteran employment. Congratulations to Ryder on this achievement.” Veteran Hiring Initiatives at Ryder Ryder has has hired more than 15,300 veteran employees in the United States since joining the U.S. Chamber of Commerce’s Hiring Our Heroes program in November 2011. Ryder’s Veteran Buddy Program pairs Ryder employees who are military veterans with new veteran employees. The program is designed to help ease the transition from military to civilian life, which can be a significant challenge for recently separated veterans returning to the workforce. Ryder also participates in the Pathway Home program, which helps ease the transition to civilian life for U.S. soldiers through a 12-week diesel maintenance technician training course and offers employment opportunities as a Ryder technician upon completion of the training. Jobs at Ryder Veterans interested in Ryder careers can visit Ryder Veterans Jobs, where they can match their skills with open positions in the company. Ryder Military Discount Additionally, the company offers military discounts to its customers with its latest program around used commercial vehicles. Ryder provides 10% off the advertised price of a used vehicle to veterans, active military, and reservists. Visit Ryder Used Trucks for Sale for terms and conditions and to learn more.

United Road names Anthony Clevio senior VP of sales, marketing

John Worthen - May 6, 2024

PLYMOUTH, Mich. — Mark Anderson, chairman and CEO of United Road, the largest provider of finished vehicle transport logistics in North America, has announced the appointment of Anthony Clevio as senior vice president of sales and marketing. “We look forward to Anthony’s leadership and contributions as we continue our relentless customer service and growth journey, delighting each of our more than 10,000 customers,” Anderson said. Most recently, Clevio, 47, was the global logistics director of finished vehicle logistics at General Motors, according to a news release. “I know United Road well,” Clevio said. “They are the largest and best in the finished vehicle transport industry, and their culture is strong. Coming from a logistics and supply chain background, I bring a customer’s view. I’m proud to be part of a team that continues to excel and differentiate itself in the industry.” During his 17 years with the automaker, Clevio held purchasing, order fulfillment, supply chain and operations positions. Before that, he worked at Vector SCM and Deloitte Consulting. Clevio earned a bachelor of arts degree in supply chain management from Michigan State University in 1999 and an MBA from Wayne State University in 2014. “At United Road, our mission is to be the supplier and employer of choice in the finished vehicle logistics industry,” Anderson said. “We are confident that Anthony, with his extensive experience and shared values, is well-positioned to identify opportunities in our markets and manage industry challenges. His unwavering commitment to customer excellence aligns with ours.”

Diamond Line Delivery Systems selects CLI FACTS

Erica N. Guy - May 6, 2024

ELMSFORD, N.Y. — Carrier Logistics Inc. (CLI), veteran providers of freight management software for less-than-truckload (LTL) fleets, has announced that Diamond Line Delivery Systems, an LTL carrier that serves customers across five states in the Northwest, has deployed its FACTS software as the foundation for growth and to improve and enhance its business processes. “We knew that we needed to replace our legacy green-screen system with a freight and transportation management solution that would give us visibility into our operation and streamline our business processes,” said Neil Smith, president at Diamond Line Delivery. “The challenge was finding a TMS that wasn’t built for truckload operations and then modified for an LTL carrier. Then we found Carrier Logistics. Their FACTS system was developed and built for LTL. It is a straightforward fit for what we need.” Since going live on FACTS in May 2023, Diamond Line Delivery has worked closely with CLI to roll out the software with a focus on enabling the same processes across all of its locations, according to a news release.The carrier plans to utilize the full spectrum of features and integrations available in FACTS, including route optimization, freight dimensioning to access accurate shipment size and weight data, and costing and imaging solutions. “CLI has proven to be the right company for us because they’ve consistently delivered what they committed to which was to build on the FACTS foundation to enable additional capabilities we need in the software,” Smith said. “They assured us they would do that when we first spoke to them, and they’ve delivered on that promise. Our goal is to double our revenue in the next few years without having to scale up our staff. With CLI and FACTS we have the technology and the support to achieve that objective and provide top service to our customers.” Headquartered in Meridian, Idaho, Diamond Line Delivery Systems, Inc. provides LTL service from 16 terminals in Oregon, Washington, Idaho, Utah, and Colorado. The carrier delivers freight to hundreds of communities, including next day service to and from all major cities in the Northwest, with 200 drivers and a fleet of 220 tractors and 500 trailers. “With Diamond Line Delivery we have a visionary customer who sees all the opportunities that FACTS can offer for their growing LTL operation,” said Ben Wiesen, president of CLI. “We’re pleased they have chosen CLI to help drive the growth they envision. We’re looking forward to continuing to work with them to build processes and capabilities that meet their freight management needs.”

Introducing TCA’s Elevate Class of ’24

Truckload Authority Staff - May 6, 2024

The inaugural class of the Truckload Carriers Association’s (TCA) Elevate Young Leadership Program was introduced during the association’s annual convention, held in Nashville March 23-26. Designed to empower and nurture the leaders of tomorrow, the Elevate program offers young professionals a unique opportunity to engage with each other and industry mentors, further their trucking knowledge, and thrive in their careers. Each member of this year’s group of 15 young transportation executives was selected from a large, competitive pool of applicants, and they are to be congratulated for their selection. The Elevate Class of ’24 is made up of TCA carrier and associate members: Samantha Bodnar, executive team, D.M. Bowman, Inc. Sarah Burns, manager of transportation, scheduling and planning, Swto LLC Rayvaun Christenson, vice president, Christenson Transportation Jeff Dorais, operations manager, Brown Dog Carriers Ryan Doran, business development, Diamond Transportation System, Inc. Jason Douglass, director of retention and recruiting, Stokes Trucking Alfonso Dozal, cross-border administration, Landstar Transportation Logistics, Inc. Craig Enns, CFO, Arnold Bros Transport Ltd Michael Foley, senior transportation specialist, TrueNorth Companies David Hoerres, director of national accounts, Comdata Inc. Jennifer Nuest, senior vice president of transportation practice, Amwins Group Tyler Smith, maintenance manager, Wilson Logistics, Inc. Derek Vanblargan, president, Northern Logistics Molly Vidler, external communications specialist, Tenstreet Ryan Whelan, district sales associate, Volvo Truck Group Members of the Elevate TCA Young Leadership Program participate in a mix of in-person meetings at TCA events in addition to six virtual meetings throughout 2024. Tenstreet is the program’s presenting sponsor. For more information about the Elevate program, click here. Photo courtesy of TCA This article originally appeared in the May/June 2024 edition of Truckload Authority, the official publication of the Truckload Carriers Association.

Kittle’s Furniture operating Indiana’s 1st Kenworth K270E battery-electric cabover

Erica N. Guy - May 6, 2024

INDIANAPOLIS — Kittle’s Furniture has Indiana’s first Kenworth battery-electric truck. With six retail locations in Indiana, Kittle’s uses a Kenworth K270E electric truck to deliver to customers in the Indianapolis metro area from its distribution center in Fishers, according to a news release. The truck is leased through Palmer Leasing, the local PacLease franchise, and joins other leased medium-duty trucks also in service with Kittle’s. The truck’s 282 kW battery pack delivers 355 horsepower through a direct-drive motor and can travel up to 200 miles between charges, the news release notes. A 20 kW wall charger from PACCAR Parts provides overnight charging. Founded in Indiana and family-owned since 1932, Kittle’s owners say they are always looking to the future. “That’s why we wanted to be the first in the furniture industry in Indiana to start using an electric delivery truck,” said Eric Easter, Kittle’s CEO. “With recent advancements in EV technology, especially in commercial vehicles, we believe it’s time to test and move forward with trucks that eliminate emissions while reducing our consumption of fossil fuels. And we’re finding the truck is delivering as promised. The K270E is less expensive to operate and has fewer service and maintenance requirements. This helps offset the higher lease rate. Our EV Kenworth from PacLease allows us to move into the future.” According to Tyler Baker, Kittle’s director of operations, the K270E has been in service since November 2023. “We’ve been tracking the performance and project we will be saving $10,000 a year in fuel alone,” he said. “And our cost for recharging has been negligible — we’re not seeing much of a difference in our electric bill. We use the truck starting at 7:00 in the morning, and it’s returned to the charging pedestal by 6:00 in the evening. It’s then plugged in and ready to go in the morning.” Baker said 50% of Kittle’s customers are within a 10-mile radius of its distribution center in Fishers. “The K270E serves those customers and goes back and forth to our distribution center, normally putting on between 75-100 miles per day,” Baker said. “We have gone as many as 150 miles between charges, and the truck has performed nicely. We expect the truck to put on about 20,000 miles a year. Our diesels average 25,000 miles.” According to Baker, the main difference drivers have found between electric and diesel is the get-up-and-go power of the electric Kenworth. “It’s quicker out of the gate than our standard truck, thanks to the direct drive engine,” Baker said. “And it’s so quiet. That’s taken getting used to, but our drivers like it.” Customers like the truck as well. “We get lots of compliments,” Baker said. “They see the wrap on the truck, which promotes the fact that this is an electric-powered vehicle. They think it’s pretty cool we’re running on battery power.” With anything new, there was a period of getting used to the electric Kenworth. “There was a learning curve for us and Palmer since this truck was the first for both of us,” Baker said. “But we’ve been working together for a long time, so it was a good experience as we ramped up. We’re very comfortable with the electric truck now, and that will help us as the industry moves forward with battery electric vehicles and charging technology.” Palmer’s Chairman, John Nichols, said that his company has worked with Kittle’s Furniture since 2010. “We’re both family-owned organizations and view our relationship with Kittle’s as a partnership — we do whatever it takes to help them succeed in transportation,” he said. “We were thrilled they wanted to move forward with the new electric Kenworth K270E. The lease through PacLease made it very simple and cost-effective for them to move forward.” Kittle’s makes between 300 and 400 customer deliveries each week, according to Baker. Drivers shrink-wrap their loads each morning for protection, then make between 10-and 15 deliveries per day. Many deliveries are “white glove,” where Kittle’s drivers set up furniture in the customer’s home. More than 50% of deliveries are from orders placed at the company’s 132,000-square-foot superstore in Castleton, “but we go all over the state,” Baker said. About once a week, trucks deliver new ‘display’ furniture to its retail locations, but the core transportation is to residential addresses. “We pride ourselves on quick turnaround — our deliveries typically take place within two days of the order from one of our stores,” Baker said.

Multi-Service Fuel Card launches mobile app aimed at truckers

Erica N. Guy - May 3, 2024

OVERLAND PARK, Kan. — Truck drivers can now use their Multi-Service Fuel Cards through a new mobile app that was specifically developed to support over-the-road truck drivers and fleet owners as they seek out cost-effective fuel options. The Multi-Service Fuel Card mobile application is accessible to existing fuel card customers and non-customers alike and is available today for both Apple and Android operating systems, according to a news release. The mobile app has focused on providing all users with the most accurate fuel pricing available so they can make cost-effective fueling decisions over the road. Also, any user can store multiple truck profiles and fuel plan for the road ahead, leveraging proximity and amenity filters alongside their pricing data. Multi-Service Fuel Card has an extensive truck stop merchant network with nearly 8,900 locations. Multi-Service Fuel Card account holders receive additional benefits, such as customized pricing with specific merchant groups. Price transparency, card ordering and card management are all additional features available to account holders on-the-go via the new mobile app. “We are incredibly excited to finally launch our mobile app,” said Aaron Decker, CEO of Multi-Service Fuel Card. “The features at launch are tools our customers have requested of us. Our team has poured their hearts and souls into delivering for our customers, and we truly believe it will provide a new level of ease and transparency over the road. This release is just the beginning of many enhancements we are set to deliver over the next year.”

For Stokes Trucking’s Jason Douglass, driver retention is key to a company’s success

Kris Rutherford - May 3, 2024

Jason Douglass of Stokes Trucking knows the importance of driver retention. The 36-year-old, who serves as director of recruiting and retention for Tremonton, Utah-based Stokes Trucking, began his career in the industry as a driver for a plumbing company before moving into warehouse management and dispatch, sales, safety management, and, finally, recruiting. Because he’s actively worked in so many facets of the industry, Douglass has first-hand knowledge of many of the challenges faced by employees. As a trucking executive, he also knows that many motor carriers are struggling to retain drivers and experiencing high turnover rates. While finding qualified drivers is vital, Douglass says the “retention” portion of his title is the main focus at Stokes — and that’s exactly the way he likes it. “Our turnover is super-low,” he told Truckload Authority. “Anybody can bring drivers in. The importance of my role is to keep people with the company.” When he was recruited by Stokes in 2022, he was impressed by the company’s culture and the mindset of working to retain valued employees. “Our cultures matched,” Douglass said. “Stokes’ culture is clear on its social media pages. It’s like we instantly clicked.” Currently the company, which specializes in transporting refrigerated foods, employs 55 drivers and operates 50 trucks and 112 refrigerated trailers — and it is working to expand. Drivers average 2,800-3,200 miles a week, with routes designed to allow drivers to enjoy home time weekly. Of course, he says, driver retention begins with smart recruiting and hiring. “If you recruit the right people, you don’t have to recruit as much,” he explained, adding that he’d rather have an empty truck than hire the wrong person to drive it. So, one might ask, how can recruiters make sure they find the right people? While there’s not a one-size-fits-all answer, Douglass shared his basic strategy. When interviewing prospective drivers, he says, the first few questions are friendly “get to know you” queries. Once he knows a little about the driver’s personality and goals, he says, he works to find out exactly what the driver is looking for in a company. Next, he asks about previous employers. In some cases, he says, a previous company’s culture simply wasn’t a good fit for a specific driver (or vice versa). “There are some people, some companies that I know are just bad fits,” he said. “Then there are companies I know have the same hiring criteria as us.” In short, he says, the initial interview needs to go far beyond the driver’s skills and qualifications. “Between those questions, I can pick up red flags. For instance, a recruit might ask if we do hair follicle drug testing,” he explained. “If they wince, that’s probably the biggest red flag I see. “I start asking qualifying questions,” he continued. “I get them to talk, and I get a feeling for their personalities. We’re not a fit for everybody — and everybody is not a fit for us.” In addition, Douglass says, he looks at the way a driver has quit previous jobs. “We won’t hire anybody unless they put in two weeks’ notice with their current company,” he said. “We don’t want anyone to do that to us.” When it comes right down to it, the question isn’t whether the driver wants to work for Stokes; it’s a question of whether the company wants to hire a particular driver. “We don’t just put butts in seats, so I ask questions,” he said. “Our motto is, ‘Do the right thing,’” That motto goes both ways. “What’s the right thing to you? What are your morals?” he said. “There’s no ‘secret sauce’ in our success. It’s just being genuine.” As noted earlier, Stokes has a low turnover rate (10% to 14%). More often a driver is let go rather than quitting, Douglass said. “We probably terminate more than quit because we have a high safety standard,” he explained. “You must have a high standard in this day and age. You’re always trying to protect assets.” Of course, a driver’s experience and safety record are also important, and Douglass says the recruiting team works closely with the company’s safety director. “We both know what we’re looking for in a good driver — and we know what the company’s looking for,” he said. “We won’t hire anybody without all of us meeting them.” Once the team is sure they’ve found a driver who’s a good fit for the company, the “real” work — retention — begins. At Stokes, Douglass says, the culture is designed to ensure the group works together as a team, with a common goal. Of course, pay is important, but there are other factors that result in loyal, happy employees. “Drivers’ checks don’t fluctuate more than 10% weekly, and we have some drivers that make up to $100,000 a year,” he said, adding that consistency in freight and miles goes a long way toward ensuring satisfied drivers. “In this market, drivers can work anywhere. So, especially for younger drivers, a carrier needs to be a place they WANT to work,” he said. Breaking down traditional business barriers is another key to success. “At so many companies, there’s a hierarchy,” Douglass said. “Drivers are at the bottom, and then there’s office employees. You must eliminate the hierarchy.” This involves making sure drivers have a voice in the company. In addition, he says, drivers appreciate a friendly environment and decent facilities. “You can’t make it like drivers are separated from the office,” Douglass said. “At many companies, management SAYS they have an open-door policy … but do they really mean it? Our owner sits with the dispatcher. “I’m very approachable. I want people to bring up concerns,” he continued. “However, it doesn’t do any good if there’s no action. I am proactive about what people bring me, and I follow up. Once that reputation is set, the job is easier. People depend on me.” While the goal of any business is to see a profit, the best companies are often known for having the “human touch.” “You have to have empathy in recruiting and retention,” Douglass shared. “Without it, you’re not of much use. You need to be able to put yourself in the potential employee’s position. Some people say, ‘Just tough it up and drive.’ Well, we’re not in that market anymore. We realize that good drivers can go work somewhere else.” Photo by Linda Garner-Bunch/Truckload Authority This article originally appeared in the May/June 2024 edition of Truckload Authority, the official publication of the Truckload Carriers Association.

Retaining training: Make sure your team takes skills, information from the classroom to the highway

Dwain Hebda - May 3, 2024

If it feels like your company’s driver training and other educational programs are falling on deaf ears when participants leave the classroom and return to the road, it might not be a case of poor attitude or an inability to learn on the part of the trainees. According to training experts, many companies go to great lengths to educate their employees — only to overlook one critical part of the process: consistent follow-up. “You never want to stop educating. You want to have recurrent education. Communication is huge, and it differs with different segments of industry,” said Mike Brust, director of safety and loss prevention for the Arkansas Trucking Association. “The less-than-truckload side is going to see the drivers face-to-face quite a bit and you can easily schedule meetings and impart information,” he explained. “For a truckload carrier, you often don’t see those drivers for months. In that situation, you have to discuss things — pat them on the back, let them know they’re not forgotten, that they’re part of the team. That’s extremely important.” Technology offers a great assist in this process, limited only by the creativity and imagination of the training team, Brust said. “One item that I’ve seen to be very successful is the use of video,” he said. “Use a phone to video record drivers performing a job properly, such as pre- and post-trip inspections, proper three points of contact getting into and out of a tractor, proper lifting, proper backing, etc. “Employees like to see one of their co-workers in the videos; I have used this in the past with great success,” he added. Brust says the best companies recognize that instructions from even the best training teams usually pale in comparison to advice from employees that others look up to, especially when adopting new materials and adapting to change. The most successful training programs engage employees who are respected by their peers early in the process. “When I worked for FedEx and other truckload carriers, we brought those folks in and we explained (the new material) to them — how it benefits them and how it benefits the company,” he said. “Whenever we had major changes going on or something worth looking at, we’d bring those guys in or contact them through a conference call to get their feedback and their buy-in. Once you have their buy-in, that goes a long way in how things are perceived and accepted by everyone else.” Even with that endorsement, it’s up to each individual employee to learn, accept, and put into practice whatever new material is being presented. This can be difficult to accomplish, no matter how much benefit the changes represent. Dr. Gina Anderson, CEO of Luma Brighter Learning, says having an intentional approach to the presentation of material, combined with thorough follow-up, presents the best chance that the materials are learned and applied consistently. “The first step in the learning process is to get a learner’s attention — and then you have to keep it,” she said. “Our minds quickly begin to wander, so even though the person is physically in the room where training is happening, the reality is that their minds most likely are elsewhere,” she warned. “With safety training, it is imperative to use information processing encoding strategies to help learners remember information indefinitely.” One vital strategy is to focus on the most important information for learners to retain. “For example, our cognitive abilities have limits. It is critical that coaches identify what they want the learner to remember after the learning session so that those critical understandings can be reinforced in multiple ways, in multiple mediums, over time,” Anderson said. “Educational goals are broad and overarching, while short-term objectives are measurable steps taken to achieve goals; therefore, it is more effective to articulate outcomes in measurable deliverables.” Anderson says companies should not overlook a final two-part step following training: Offer recognition of employees who completed the training and seek ongoing feedback about the quality of the training itself. This offers powerful tools to improve both learners and educators. “It is important to build rewards and recognition into any learner program,” she said. “Game-based techniques like company stores, rewards, recognition, leaderboards, and shout-outs can all contribute to increased engagement and enjoyment in learning. “Creating meaningful assessments and feedback loops can help instructors determine how to improve learning, which is imperative in building impactful and effective education,” she continued. “Formative assessments can be accomplished through surveys, content ratings, and feedback loops, to name some examples.” Jeffrey Arnold, executive director for the North American Transportation Management Institute (NATMI), also suggests several strategies to ensure learners understand the material and to reinforce learning both during and after training. “Evaluate the trainee’s recall of the desired behaviors by asking the learner to recall the techniques presented during the training and repeat what they remember,” he said. “Then you can review or reteach any key items they miss.” Learning to apply classroom training to situations on the road is vital. “You should also ensure that the learning can be applied in a safe setting where students can practice and you can observe how effectively the new techniques are being applied, providing coaching and reinforcement where necessary,” he said. Arnold even suggested conducting a ride-along to help ensure new concepts are being applied under real-world conditions. “On a more general note, to reinforce learning, supervisors should acknowledge progress, celebrate accomplishments and provide positive feedback, consistently and frequently,” he said. “Habits are formed through repetition and reinforcement.” This article originally appeared in the May/June 2024 edition of Truckload Authority, the official publication of the Truckload Carriers Association.

U.S. Bank Freight Payment Index: Truck freight contraction continues

The Trucker News Staff - May 3, 2024

MINNEAPOLIS — The latest U.S. Bank Freight Payment Index revealed that the U.S. truck freight market contracted significantly during the first three months of 2024. Spending by shippers decreased 27.9% in the first quarter compared with the same period in 2023 and was down 16.8% compared to the fourth quarter of 2023. Meanwhile, shipments dropped 21.6% from a year prior and 7.8% from the fourth quarter of 2023. “While there was hope for a freight market turnaround to start the year, our data shows that the challenges continued,” said Bobby Holland, director of freight business analytics, U.S. Bank. “Nationally, this was the eighth straight quarter of year-over-year volume decreases and the fifth straight with a drop in spending.” The U.S. Bank Freight Payment Index regional data shows how widespread the current challenges are for the truck freight market. With the exception of the Southwest — which had a quarterly increase in volume — all regions had significant declines in shipments and spending. The most severe contraction was in the Northeast, where spending dropped 34.8% year-over-year and shipments fell 33.9%. “Spending fell disproportionately to the drop in volume, which suggests downward rates pressure to start the year,” said Bob Costello, senior vice president and chief economist at the American Trucking Associations. “Truck capacity remained above the amount of freight available. The degree to which this mismatch shrinks or expands will be important to watch throughout the year.” National Data Shipments Linked quarter: -7.8% Year over year: -21.6% Spending Linked quarter: -16.8% Year over year: -27.9% Regional Data West Shipments Linked quarter: -10.6% Year over year: -23.0% Spending Linked quarter: -19.9% Year over year: -30.6% Overcapacity, bad weather and consumers spending less on goods all impacted the truck freight market in the West. This was the third time since the height of the pandemic that the region had annual and quarterly declines in both spending and volume. Southwest Shipments Linked quarter: 8.9% Year over year: -12.8% Spending Third quarter: -16.5% Year over year: -29.2% The only region to have higher volumes, shipments in the Southwest were up 8.9% over the previous quarter. However, they were down -12.8% year over year. Weaker factory output in the region was partially offset by higher cross-border freight from Mexico. Midwest Shipments Linked quarter: -9.5% Year-over-year: -18.5% Spending Linked quarter: -15.4% Year over year: -25.9% Shipment volumes dropped for the fourth consecutive quarter in the Midwest. A slowdown in auto sales and softer manufacturing activity contributed to the declines. Northeast Shipments Linked quarter: -17.5% Year-over-year: -33.9% Spending Linked quarter: -23.8% Year-over-year: -34.8% The Northeast had an extremely difficult quarter, with the largest declines of all five regions. Bad winter storms and softer retail sales were two drivers of the major contractions in volume and spending. Southeast Shipments Linked quarter: -9.0% Year-over-year: -24.4% Spending Linked quarter: -13.8% Year-over-year: -25.0% The Southeast experienced its 11th consecutive quarter where shipments contracted sequentially. However, the region had the smallest decline in volume of the four regions that contracted and the smallest decline in spending.

J.B. Hunt honors dozens for safely driving 2 million-plus miles

John Worthen - May 3, 2024

LOWELL, Ark. — J.B. Hunt Transport Services has recognized 54 company drivers for achieving two, three, four and five million miles driven without a preventable accident at its annual Million Mile Celebration at company headquarters in Lowell. The drivers were awarded a total of $770,000 in safe driving bonuses, according to a news release. “These drivers are the champions of our safety culture,” said Nick Hobbs, chief operating officer and president of contract services at J.B. Hunt. “Their million-mile achievements demonstrate an unwavering commitment to delivering long-term, exceptional value for our customers. 2023 was a record year for our safety organization, and these drivers were a huge part of that. Congratulations to all 54 drivers for their monumental safety milestone.” The 2024 Million Mile driver class spent the last few days at company headquarters with their families, management and executive leadership team celebrating their million-mile moment. On average, it takes a driver approximately seven to 10 years to reach one million safe miles, the news release states. Among this year’s class is J.B. Hunt’s Jodi Edwards, the third driver to achieve five million miles and the company’s first to be honored with Women in Trucking’s Driver of the Year award. The peak of the celebration took place on May 1 at the Million Mile Walk of Fame. Drivers and their families walked the red carpet throughout the company’s Lowell campus where they were cheered on by hundreds of employees, ending with embracement and words of gratitude from company executives. Since 1996, J.B. Hunt has awarded more than $38 million in safe driving bonuses to nearly 5,000 company drivers and has hosted the Million Mile event dating back to 2001. “The Million Mile event is a cornerstone of J.B. Hunt’s culture, rooted in company values of excellence, safety and integrity,” the news release states. “The company’s commitment to safety is exemplary in the industry and essential to delivering exceptional value to its customers. By recruiting and retaining some of the top driving talent in the country, J.B. Hunt puts thousands of skilled and well-trained drivers on the road each year.”

Drivewyze honored with Innovation Showcase Award from ITS America

Erica N. Guy - May 3, 2024

PLANO, Texas — Drivewyze, a commercial truck safety platform, recently received the inaugural ITS Innovation Showcase Award from the Intelligent Transportation Society of America (ITS America) at the 2024 ITS America Conference & Expo in Phoenix. ITS America is a membership and advocacy organization that advances the research and deployment of intelligent transportation technologies to save lives, improve mobility, promote sustainability and increase efficiency and productivity, according to a news release. The ITS Innovation Showcase Award recognizes groundbreaking innovations and solutions that define the future of transportation. For the award, ITS America members submitted products driving innovation that were then voted on by those attending the conference and expo. The product with the most votes received the Innovation Showcase Award. “As the nation’s leading intelligent transportation systems event, this year’s ITS America Conference and Expo saw many deserving nominees for the ITS America Showcase Award. The innovations occurring daily in our sector are multiplying, and this win reinforces the strength and relevancy of Drivewyze’s solution and partnership with government agencies to deliver in-cab safety alerts to truck drivers,” said Laura Chace, President and CEO of ITS America. “Their creative and innovative approach to keep drivers safe on their roads can only be realized by the public and private sector working together. I want to congratulate Drivewyze on their Smart Roadways program. This award is meant to reflect the best of the best in the industry, and they are a very worthy inaugural recipient.” Drivewyze showcased its Smart Roadways technology, which state transportation agencies can use to issue in-cab safety alerts to commercial truck drivers on upcoming road hazards, such as sudden or unexpected traffic slowdowns, active work zones or parked service vehicles, as well as emergency events or conditions. This technology, free of charge to truckers and trucking companies through the Drivewyze Free application, has been shown to slow drivers down, helping them avoid potential crashes and improve roadway safety, the news release states. State agencies who sponsor real-time Smart Roadways alerts can assess their program’s effectiveness by monitoring driver behavior trends after drivers receive the alert, including changes in speed and where hard braking has occurred. “State agencies partner with us because our Smart Roadways services leverage hundreds of thousands of connected trucks, high-quality data, and quantifiable benefits, including insights into the number of in-cab alerts sent and the resulting improvements in driver behavior,” said Brian Heath, CEO of Drivewyze. “It’s exciting to work with leading transportation agencies that leverage our device-agnostic, one-to-many connected truck platform because, together, we are moving the needle on highway safety.”

ACT Research: Class 8 truck preliminary net orders lower in April

John Worthen - May 3, 2024

COLUMBUS, Ind. — April preliminary North America Class 8 net orders were 15,600 units, down 1,800 units from March but 30% higher than a very easy year-ago comparison, according to ACT Research. “Even in good years, Q2 typically delivers below-trend orders, while Q4 orders can trigger optimism at the bottom of the cycle,” shared Ken Vieth, ACT’s president and senior analyst. With the long bottom in freight volumes and rates continuing in the most recent data from DAT amid lingering market overcapacity, carrier profitability as illustrated by the publicly traded for-hire carriers’ financial performance was dismal in Q1, Vieth notes. “Entering the historically worst time of the year for orders, at the bottom of on-highway tractor buyers’ profitability cycle, is producing results in-line with expectations,” he added. With April’s seasonal factor being positive, the month’s intake is boosted to 16,600 units. Despite the 12-month seasonally-adjusted annual rate at 290,000, demand in the near-term is decelerating. Used Market Meanwhile, used Class 8 average retail sale price dipped 2.9% month-over-month to $60,100 in March. “On a year-over-year basis, used retail prices were 20% lower,” said Steve Tam, vice president at ACT Research. “In our most recent update, pricing pressure abated moderately from Q4’23 to Q1’24. Prices are expected to remain relatively stable through most of 2024, transitioning to y/y growth in late Q3 or early Q4. Sequential growth most likely will take place at the end of 2024.” Regarding volumes, Tam said that March same dealer Class 8 retail truck sales pulled back sequentially, counter to the seasonal bump indicated by history. However, the total market same dealer sales volume rose 17% from February to March. Compared to March 2023, the retail market advanced 3.9%. The auction segment swelled 48% year-over-year, with wholesale volumes more than doubling (+103% year-over-year), according to Tam. Combined market results saw volumes increase 26% year-over-year. Expectations for 2024 call for moderate growth relative to 2023, Tam concluded.

Know what you’re paying for: Predatory towing fees are a growing issue in trucking

Kris Rutherford - May 2, 2024

Predatory towing. It’s a term with which all too many motor carriers and drivers are uncomfortably familiar. It’s possible your company has been a victim of the practice, which goes far beyond fees for towing a disabled vehicle from the side of the road. For example, let’s imagine one of your tractor-trailers is involved in a single-vehicle accident, such as a rollover. Law enforcement at the scene request a tow service, usually selecting the next towing company on a list used to spread the business among competitors. The company dispatches the equipment, spends about an hour and a half cleaning up the scene, and then disappears with both your equipment and cargo. In short order, you receive a bill for towing services that requests payment of tens or even hundreds of thousands of dollars for the release of your equipment. Predatory towing is an increasing problem in the trucking industry and has been brought to the attention of the Federal Trade Commission (FTC), which is studying deceptive business practices nationwide. Already, several state’s legislatures have passed or are considering bills to limit predatory fees. “When a truck driver’s vehicle is towed, they can’t earn a living until they get it back — leaving them vulnerable to predatory junk fees from towing companies,” said U.S. Transportation Secretary Pete Buttigieg. “We support FTC’s efforts to stand up for truckers by acting to ban junk fees and prevent predatory towing fees that can cause significant financial harm.” The Federal Motor Carrier Safety Administration (FMCSA) expressed sentiments about the issue in a letter to the FTC. “The proposed regulation may significantly benefit FMCSA’s regulated community, specifically as it relates to the predatory towing practices that have a substantial financial impact on CMV owners and operators,” wrote Sue Lawless, the agency’s acting deputy administrator. She went on to highlight the nature of predatory towing fees, the various ways a tow company calculates excessive fees, and the hidden charges many tow companies place on an invoice. In a Truckload Carriers Association (TCA) webinar on the issue, Gene Funk, general counsel for Cowan Systems, a Maryland-based trucking firm, said, “The towing companies send out these bills just hoping someone is not looking at them.” Funk, along with Renee Bowen, an attorney with the firm Franklin and Prokopik, provided several examples of invoices with excessive charges, one in which the towing company sought $202,000. “They’re a creative bunch,” Bowen said, referring to predatory towing companies. “(These fees are) made up. They’re fictitious. You have to challenge these charges,” said Funk in reference to some of the charges that show up on towing invoices. As an example, Funk pointed to a certain fuel surcharge. The line item had no relationship to the amount of fuel the tow company used in performing the work; instead, it was charged as a percentage of the total tow bill. In essence, a $100,000 invoice could have a $6,000 surcharge for fuel attached. Another major issue with predatory towing is “per-pound” billing. In this case, a tow company sets its fee based on the total weight of the vehicle, trailer, and cargo being hauled. Often, Funk said, companies will charge a minimum fee based on an 80,000-pound tractor-trailer — even when the vehicle involved only weighs 20,000 pounds. One example compared a per-pound billing invoice to an invoice for the same service charged at nonpredatory rates. When recalculated, the predatory $140,000 per-pound invoice dropped to $24,000. There are several problems with existing towing fee regulations, which vary from state to state. First, the tow companies hold all the power. They capitalize on a motor carrier’s need to retrieve its equipment and cargo. Despite statutes in place that require tow companies to release cargo, Funk and Bowen cited instances in which tow company managers simply ignored the requirement and essentially held equipment and cargo hostage. There is also a lack of enforcement of existing regulations. Often, law enforcement agencies are the ones who call a tow company — but they are unwilling to get involved in cases of excessive charges. In addition, there are cases in which a tow company sends the same invoice to various stakeholders (carriers, insurance companies, drivers, brokers, etc.). On occasion, multiple parties pay the same bill — and the towing companies simply reap the profits. To help trucking companies guard against predatory billing, Funk and Bowen offered some warning signs to look for before writing a check. One red flag is per-pound billing, a practice that is actually outlawed in some states. Excessive hourly rates and the number of hours personnel and equipment are on site should also be inspected. For example, a tow company may charge an hourly rate but have a minimum charge policy of four hours, even if less time is spent at the site. Some tow companies charge additional fees for equipment sent to the site, even if that equipment was neither requested nor necessary for the towing job. Finally, hidden surcharges are common tactics of predatory tow companies. Charges for weather conditions (temperatures over 80 degrees, for example), photos, and follow-up communications are common. One example of an invoice presented by Funk and Bowen even charged for “snacks.” And the snacks were charged at 2% of the total bill, resulting in a cost of $200 per employee. As far as solutions to the problem of predatory towing are concerned, Funk is not optimistic: “There are no good answers to solve the problem,” he said. However, Bowen did offer a few suggestions for truckers and carriers to follow when involved in a towing situation. First, no driver should sign any document presented by a towing company on site. Many times, the driver could be signing away rates and waivers. Drivers should take lots of photos of the site, towing operation, equipment, and personnel. “Photographs are incredibly important,” Bowen said. It is also recommended that carriers form relationships with towing companies in the areas in which they operate, have legal counsel available, and train staff in what to do in the case of a towing situation. Finally, Bowen says, carriers should join and support state trucking associations. These groups can be excellent resources when it comes to getting references for reputable towing companies nationwide. Ultimately, carriers must be aware that their drivers operate in different states — and there is no consistency in the regulations states place on the two companies in relation to towing fees. The FMCSA suggests the FTC provide guidance on how deceptive business practices related to towing would impact state and local laws that govern towing practices. Perhaps when federal guidance is available, tow companies will be willing to come to the bargaining table to establish fair and consistent rates. “The industry wants fair service for a fair price,” Funk concluded. This article originally appeared in the May/June 2024 edition of Truckload Authority, the official publication of the Truckload Carriers Association.

Averitt wins Trane Technologies’ Logistics Supplier of the Year award

Erica N. Guy - May 2, 2024

COOKEVILLE, Tenn. — Averitt has been named the Logistics Supplier of the Year award byTrane Technologies. According to a news release, Averitt’s expertise in all five of its verticals has made it a trusted partner for companies, including Trane Technologies, throughout the years. “We are honored to receive this recognition from Trane Technologies,” said Kent Williams, executive vice president of sales and marketing at Averitt. “This award is a testament to our ongoing commitment to delivering value and ensuring the success of our partners.” Its dedication to operational excellence and customer satisfaction has made Averitt the choice of supplier in the logistics industry, Trane officials said. “Averitt has been recognized by Trane Technologies for delivering differentiated value for our customers. The quality alert program with specific handling instructions for our best-in-class products reduces the chance of damages that could lead to a negative customer experience. Additionally, Averitt has sponsored a dedicated customer success team for our company. These and many other efforts result in Averitt being a supplier of choice for Trane Technologies,” said Bill Walker, director of logistics procurement at Trane Technologies. “Congratulations to the Averitt team for earning the 2024 Logistics Supplier of the Year award.”

Institute a comprehensive safety plan to help ensure fleet safety – Part 1

Brad Klepper - May 1, 2024

We all know how much people love to hate lawyers. Even I can jump right on that bandwagon. When you pay a lawyer for his/her advice, you’re often actually paying someone to be a killjoy. He/she will listen as you describe what you hope to accomplish — and then not-so-lovingly point out all the risks associated with your dreams. “But with no risk, there are no rewards, Brad!” I can hear you saying. Well, that’s true, or at least partially true. Mitigating every risk is impossible, but to avoid losing all those hard-earned rewards, minimizing your risk is a must. This is where your safety plan swoops in to save the day and keep those killjoys off your back. A comprehensive safety plan starts with these five steps: Recruit driver candidates who value safety; Engage safety training both up-front and ongoing based on industry standards as well as both individual and fleet performance; Evaluate customer locations, freight and routes; Provide consistent communication with your drivers on Steps 1-3; and, if that’s not enough — Have a process in place for reducing the impact of mistakes when they are made. I’m sure a parley with my friends in safety could drum up more, but most lawsuits could have been minimized or prevented through careful planning in these categories. And no, of course it’s not just about making money and preventing lawsuits (I know, it’s shocking to hear this from a lawyer), but it’s also about saving lives and feeling pride in how we take care of our people and our industry. Let’s start with Step 1: Recruit driver candidates who value safety. In addition to getting the driving history of your applicants, how are you evaluating their attitude about safety? If they have had accidents or tickets, are they taking accountability? Did they learn how to prevent it from happening again? Here’s a good question to ask prospective drivers: “If you were faced with that same situation on the road again, what would you do differently?” Perhaps they would pull over for bad weather, remove distractions, study their route more closely in advance, get out to look before backing, etc. Perhaps they’ll tell you there’s nothing they would do differently — which may tell you that, if they’re faced with this same situation at your company, they will likely have the same accident. Discussing drivers’ previous tickets and accidents may also offer insight as to the attitude they would typically display at a traffic stop. The first guidance I give all drivers is this: Remain calm and professional and treat the officer with respect, regardless of whether you feel the stop was warranted or not, or if you feel the officer is reciprocating. As you ask questions about a prospective driver’s MVR (motor vehicle record), notice their behavior. Are they becoming defensive with you? Angry? Accusatory? When reviewing the dates of an applicant’s previous infractions, check to see if they have multiple tickets from the same incident/inspection. In my experience, more than one ticket (and especially more than two tickets) during one interaction means the driver put on his/her war uniform before interacting with the officer. Also notice whether the driver is willing to take responsibility for his/her part in the interaction. For example, are they saying the citation was bumped up from speeding to reckless driving because the officer was “out to get them?” Perhaps it’s worth asking a simple, direct question: “How was your interaction with the officer during this incident?” The response could be something like, “Oh he was an idiot. I only got those tickets because the cop was out to get me and wouldn’t listen to reason.” This type of attitude is likely to result in the driver putting several tickets on your fleet’s record — or possibly even the driver being arrested during a roadside interaction. (Meanwhile, you’ll be scrambling to recover your truck and deciding the best way to inform your customer you’re just a little behind schedule.) Depending on the setup of your company, this conversation with a prospective driver might be with your recruiters, your safety team or your orientation supervisors. Whichever team takes on this conversation, make sure the person asking the questions is clear on the perspective you’re trying gain from an applicant’s responses to. When it comes to screening and interviewing job candidates, it’s best to assign the duty to a small handful of very well-trained individuals. If, for the sake of expediency, you want to train your entire team to help speed the screening/hiring process, I recommend that you have team members conduct practice interviews with each other at least once a month to keep their skills fresh and focused. You’re not going to mitigate every risk, but if you’re able to identify a hothead before you put him/her behind the wheel of a truck, you’re going to save your team a lot of headaches at the least — and explosive litigation at the worst. Watch for Step 2 in the next Ask the Attorney column.

Second annual Bulk Freight Conference draws more than 500 industry stakeholders

Linda Garner-Bunch - May 1, 2024

Springfield, Mo. — More than 500 industry professionals attended this year’s Bulk Freight Conference, held April 24-26 at the White River Conference Center in Springfield, Missouri, according to BulkLoads, which hosted the event for the second year in a row. In 2023, the inaugural conference drew nearly 200 attendees. The 2024 event saw a notable increase in participation, nearly quadrupling the size of the gathering from last year, said a spokesperson for BulkLoads. The conference is the only event in the U.S. that brings together stakeholders from all segments of the bulk freight industry, including owner-operators, carriers, company drivers, shippers and brokers. “The 2024 Bulk Freight Conference hosted by BulkLoads was phenomenal,” one attendee shared on social media. “It’s a rare and valuable opportunity for all facets of the bulk commodity segment of trucking to come together. It’s more than just a networking event, it’s a vital forum for understanding the diverse challenges and rewards within the industry.” During the conference, attendees heard presentations from featured speakers, along with panel discussions about issues facing the bulk freight industry. In addition to opportunities to collaboratively discuss challenges facing the industry and brainstorm about solutions, participants had a chance to foster individual business growth through in-person networking. Key panel topics addressed issues such as trucking insurance, current trends and challenges in bulk freight, strategies to “10x” your trucking business, and the integration of technology and artificial intelligence within the agriculture trucking industry. “Over the last few years, we’ve realized that our role extends beyond business — we’re (also) in the hospitality business,” said Tyler Allison, marketing director for BulkLoads and partner companies. “This is about bringing people together and facilitating the conversations that need to happen,” he continued. “The credit goes to our attendees, who have the courage and willingness to come together and want to engage in difficult conversations — all to take their business to the next level, but also to make this industry better.” Feedback from the participants has been overwhelmingly positive, Allison added, with many attendees emphasizing the conference’s critical role in the industry, from single-truck owner-operators to large carriers, shippers and brokers. Sponsors of this year’s conference include RC Trucking Inc, Redding Transportation LLC, Mac Trailer, RFG Logistics, Walmsley Transport, AMWINS, Martin Vibration Systems & Solutions, Ingredient Logistics Services Inc, AgTrax, CHS, Konexial, UMB, Turbo Turtle, American National Bank, Western Trailers, Cultura Technologies, Continental Western Group, GrainWorx and MUDFLAP. Allsion says plans for the 2025 Bulk Freight Conference are already in the works, adding that limited space is available. Those planning to attend next year’s event should reserve their spot early; visit bulkfreightconference.com.

Safety first, last, and always: Modern Transportation hangs its hat on protecting drivers, environment

Dwain Hebda - May 1, 2024

One of the most common slogans used to lure new drivers to a trucking company is the promise of family time. “Home on weekends” — and even “Home every night” — have become common phrases that are appealing to prospective drivers seeking a balance between home life and work life. Pennsylvania-based Modern Transportation takes this concept and kicks it up a gear, promising drivers that they’ll be “Home SAFE Tonight,” a commitment that’s as ambitious as it is compelling. “I’ve never worked for a company that cares about its team members as much as Modern Transportation,” said Woodson Witt, the carrier’s vice president of safety and human resources. “The company’s success is built on a culture of care. It’s living by the mission of, ‘Are you paying your people appropriately? Do they have enough personal time? And are you making sure you’re enabling them to feel good about taking that personal time?’ “When we say, ‘We value you and your safety above anything else’ and that nothing we do is worth hurting ourselves or others, we absolutely believe that,” he continued. “I mean, that is the first standard in our mission.” That corporate mission has evolved over the years since Modern Transportation was founded as a bulk materials hauler for western Pennsylvania’s coal mining industry — but the core operational ethic has remained the same. The company seeks to provide superior transportation solutions to customers in the safest, most professional, and efficient manner, Witt shared. This standard is more than words on a page, he added. It’s a calling that’s dyed, top to bottom, into the company’s corporate “fabric” providing a daily challenge to leadership and front-line workers alike. “If a team member gets injured, for whatever reason, we have failed as an organization,” Witt said. “You could say, ‘Oh, it was because of the neglect of the team member.’ Well, if it’s neglect on the part of the team member, then what didn’t we do as an organization to train them appropriately or set expectations? “There’s always a root cause analysis that’s done on anything to help us get to that ‘why’ factor,” he explained. “Why did that happen? What could we do to prevent or reduce the risk of a non-preventable accident from happening again in the future? We have to look at it that way.” Over the past 35 years, Modern Transportation has become an industry leader in bulk material logistics and trucking, expanding into liquid and chemical loads as well as petroleum-based products. The company operates two dozen terminals and supports shipping lanes in more than 30 states. In every location, the drive for improvement is constant, manifesting itself in new technology, precise logistical strategies, and a relentless focus on developing teamwork that benefits both clients and employees. “A culture of safety means not only that we want everyone to be safe out on the road, but also, when you come to work, it’s a safe place. There’s no contention, there are no silos. We’re all there for the same purpose,” Witt said. “We walk through those doors, we’re there for that mission, and that’s what we’re living. Our pledge to our customers is that we want to be innovative and creative to improve value for their dollar.” Achieving this lofty goal requires a mix of the high-tech and the high touch — being personally involved in every aspect of the company’s operation. Witt says Modern Transportation has never shied away from deploying the latest technology, from TMS and other systems to onboard safety devices and systems that streamline billing. But even as it embraces the advantages of new tech, Modern Transportation never forgets the value of old-fashioned, one-on-one interactions when it comes to solving problems and building client relationships. “We had a customer who was doing their annual visit with us. While they were here, they got the news that one of their other suppliers had just closed their doors,” Witt said. “They just looked at us and said, ‘How can you help us?’ We were able to turn around and pick up that business in a matter of days and get them right back on track. “We like to say that we strive to create a culture that meets and exceeds their standards regarding integrity, timeliness, and competitive pricing,” he continued. “When they have a problem or they have a situation, we want to be that partner, that extension, that’s there to help them. Their problems are our problems. I think the reason we’re able to do that is because everyone at Modern Transportation is aligned. We’re all moving in the same direction, helping everyone do their business better.” The company is equally innovative in the way it cares for its employees, particularly drivers, for whom safety isn’t just stressed behind the wheel or in the shop, but also through a corporately funded wellness program that helps participating employees reduce their insurance costs. This program is accompanied by a lifestyle savings account, which operates similar to a health savings account but with far fewer restrictions. “The new wellness program we started this year is a huge thing for us,” Witt said. “We partnered with a company called Sonic Boom, which has an app that has all kinds of health and wellness advice, mental wellness, financial wellness. I mean, it covers the entire gamut to show employees how to improve. As they continue to earn points in the wellness program, we will start depositing real dollars in their lifestyle savings account and they can spend it on things like gym memberships or child care. “We understand that our employees truly are an investment,” he noted. “If we cut corners with our team members’ safety and wellness, then it’s gonna haunt us down the road. We’re gonna pay big time for that. On the other hand, if they’re healthier, they’re gonna be happier — and they’re gonna be with us longer. When you care about peoples’ well-being, it’s an awesome feeling to be able to invest in them in ways that truly improve their lives at work and overall.” Photo courtesy of Modern Transportation This article originally appeared in the May/June 2024 edition of Truckload Authority, the official publication of the Truckload Carriers Association.